Hungary’s MOL has hailed a “significant oil discovery” in Pakistan for a joint venture in which it has a sizeable stake.
The state player, together with Pakistan Petroleum and Mari Petroleum, have made what is described as the first hydrocarbons discovery in the eastern part of Potwar plateau.
The Ghauri X-1 well in Jhelum, Punjab province initially flowed oil at a rate of 1193 barrels per day, but this has increased to 5500 bpd from the Sakessar formation.
“The well’s recorded flow rate ranks it amongst the country’s top oil producing wells,” MOL said in a statement on Tuesday.
“Based on initial evaluation of this well test, MOL believes the potential for this part of the Ghauri Block could be significant.”
Pakistan contributed 6% of consolidated production volumes at MOL last year, with the domestic market chipping in 43.2%, Croatia 37.2% and Russia 14.3%.
“MOL’s geological stock was estimated at 70 million barrels of oil equivalent in Pakistan in 2013, which is likely to go up, according to MOL’s current view,” the company said.
MOL holds a 30% share in the Ghauri joint venture with the other two partners holding 35% each.
There was less good news for MOL in Croatia on Tuesday as a court decided to try chairman Zsolt Hernadi in absentia on charges of graft related to the purchase of Croatian player INA, Reuters reported.
Hernadi is charged with giving former Croatian prime minister Ivo Sanader €10 million ($13.62 million) in exchange for MOL obtaining a dominant management position in INA, without formally becoming its majority owner, the news wire said.
Sanader, Hernadi and MOL have all denied the charges.